NASHVILLE, Tenn. (Oct. 27, 2020) Capital Square 1031, a leading sponsor of Delaware statutory trust (DST) offerings for 1031 exchange and other accredited investors, announced today that the firm has launched CS1031 Marina Pointe Apartments, DST. The Regulation D private placement is comprised of Marina Pointe, a lakeside, Class B+ multifamily community in Chattanooga, Tennessee.
“This is Capital Square’s 31st apartment community in the Southeast for the DST/1031 exchange program,” said Louis Rogers, founder and chief executive officer of Capital Square 1031. “During the COVID-19 pandemic, Capital Square’s multifamily portfolio has enjoyed exceptional rent collection in excess of 98% with increasing occupancy, reflecting the desirable combination of stable performance and growth highly sought by investors across the nation. In addition, Marina Pointe benefits from being located within Tennessee, an income tax free state.”
CS1031 Marina Pointe Apartments, DST seeks to raise $24.2 million in equity from accredited investors with a minimum investment of $50,000. Alexandra Huffman, senior director with Walker & Dunlop, originated the acquisition loan, which was financed by Fannie Mae with a 2.50% fixed rate 10-year loan.
Located at 5750 Lake Resort Drive, the 308-unit multifamily community is situated on 20.578 acres of land. Marina Pointe Apartments features one- and two-bedroom units ranging in size from 760 square feet to 1,414 square feet. Marina Pointe is 98.7% occupied as of September 2020. The medium household income within a one-mile radius of the property is $95,330.
Marina Pointe features a resort-style swimming pool, spa, outdoor lounge area, a 24-hour fitness center with free weights and cardio equipment, resident pet stations and covered mail centers. Additional amenities include detached garages, storage units, a clubhouse with a resident coffee bar, a cyber café, playground and outdoor grilling stations.
“Marina Pointe is well-located within an affluent submarket of Chattanooga, adjacent to Lake Chickamauga and Tennessee Valley Authority Big Ridge Small Wild Area, offering residents unparalleled access to outdoor amenities in a serene lakeside setting,” said Whitson Huffman, chief strategy and investment officer. “The property is well-located to capitalize on the city’s diverse employers in healthcare, technology, education and tourism, including Amazon, BlueCross BlueShield, Volkswagen, and the 60,000 employees that work downtown. With an affordable cost of living, access to 10-gigabit-per second fiber internet service and a strong talent pool produced by local colleges and universities, it is clear that Chattanooga is poised to continue its strong upward trajectory.”
Since inception, Capital Square has acquired 117 real estate assets for over 2,300 investors seeking quality replacement properties that qualify for tax deferral under Section 1031 of the Internal Revenue Code.
About Capital Square
Capital Square is a national real estate firm specializing in tax-advantaged real estate investments, including Delaware statutory trusts for Section 1031 exchanges and qualified opportunity zone funds for tax deferral and exclusion. To date, Capital Square has completed more than $2.3 billion in transaction volume. Capital Square’s executive team has decades of experience in real estate investments. Its founder, Louis Rogers, has structured hundreds of investment offerings totaling in excess of $5 billion. Capital Square’s related entities provide a range of services, including due diligence, acquisition, loan sourcing, property/asset management, and disposition, for a growing number of high net worth investors, private equity firms, family offices and institutional investors. Since 2017, Capital Square was awarded by Inc. 5000 as one of the fastest growing companies, for four consecutive years. In 2017 and 2018, the company was also ranked on Richmond BizSense’s list of fastest growing companies. In 2019, Capital Square was listed by Virginia Business on their “Best Places to Work in Virginia” and “Fantastic 50” reports. To learn more, visit www.CapitalSquare1031.com.
Disclaimer: Securities offered through WealthForge Securities, LLC, Member FINRA/SIPC. Capital Square and WealthForge Securities, LLC are separate entities. There are material risks associated with investing in DST properties and real estate securities including illiquidity, tenant vacancies, general market conditions and competition, lack of operating history, interest rate risks, the risk of new supply coming to market and softening rental rates, general risks of owning/operating commercial and multifamily properties, short term leases associated with multi-family properties, financing risks, potential adverse tax consequences, general economic risks, development risks, long hold periods, and potential loss of the entire investment principal. Past performance is not a guarantee of future results. Potential cash flow, returns and appreciation are not guaranteed. IRC Section 1031 is a complex tax concept; consult your legal or tax professional regarding the specifics of your particular situation. This is not a solicitation or an offer to see any securities. Please read the Private Placement Memorandum (PPM) in its entirety, paying careful attention to the risk section prior to investing. Diversification does not guarantee profits or protect against losses.